We study human capital depletion and formation in an economy open to out-migration, as opposed to an economy which is closed. Under the natural assumption of asymmetric information, the enlarged opportunities and the associated different structure of incentives can give rise to a brain gain in...

In this paper I delineate novel policy repercussions suggested by my research on "The New Economics of the Brain Drain". In section 1, I provide a succinct account of the model that inspires the derivation of several new policy implications. In sections 2 through 5, I present the policy...

In this paper we study the impact of the international migration of unskilled workers on skill formation and the average skill level in the home country. We analyze what appears to be the least threatening scenario from the point of view of its effect on the supply of skills at home: namely,...

This paper provides a novel explanation of educated unemployment, which is a salient feature of the labor markets in a number of developing countries. In a simple job-search framework we show that educated unemployment is caused by the perspective of international migration, that is, by the...